The State may participate in the equity of a legal entity. If that legal entity was incorporated under mercantile laws, then it falls within the concept of merchant debtor. Hence, state-owned companies may be subject to bankruptcy proceedings. The problem arises in majority state-owned companies.

This article discusses considerations for credit funds that face a restructuring situation in the post-COVID-19 world — whether one largely caused by the challenges posed by the pandemic or one simply accelerated by such challenges — and how workouts of these investments present their own challenges.

Following the UK Government extending the restrictions on winding up petitions until 30 June 2021 it is useful to note two recent cases that have considered the coronavirus test that currently applies to winding up petitions.

As requested by practitioners for several months, the legislator has finally amended the Belgian Code of Economic Law to complete the range of tools available to companies in distress to allow them achieve their financial recovery. The publication of these amendments in the Belgian Official Gazette took place on Friday 26 March 2021, making them effective immediately.

The main amendments are as follows:

Ante la actual incertidumbre en el mercado que se ha originado como consecuencia de las moratorias concursales establecidas a causa de la crisis del COVID-19, los tribunales españoles están tratando de buscar soluciones efectivas para mitigar los daños previsibles que esta inactividad puede generar. 

This note summarises the duties that directors of companies incorporated in England and Wales are subject to.

This note explains those duties, and matters that directors should consider in relation to them, in the context of the COVID-19 pandemic.

The Australian government has taken swift action to enact new legislation that significantly changes the insolvency laws relevant to all business as a result of the ongoing developments related to COVID

In this article, Catherine Addy QC, Rebecca Page, Rosanna Foskett and Rowena Page examine the Corporate Insolvency and Governance Act 2020 (Coronavirus) (Extension of the Relevant Period) Regulations 2021 (“CIGA Extension Regulations 2021”) which came into force on, 26 March 2021, and further extend the suspension of wrongful trading liability - almost a year since the Government announced, on 28 March 2020, the range of measures aimed at protecting companies affected by COVID-19 and their directors, as they tried to steer businesses through the choppy waters which were then anticipated to

On 18 March 2021, the UK Government published its long-awaited white paper on restoring trust in audit and corporate governance.

This follows a series of high-profile audit errors and major corporate collapses, including those of BHS in 2016 and Carillion in 2018, which led the Government to commission three independent reviews into different aspects of the UK’s audit, reporting and corporate governance systems.

The white paper targets large listed and AIM-listed companies, and large private companies where there is a public interest, and primarily focuses on:

On 24 March 2021 regulations were laid before parliament to further extend the protections introduced under the Corporate Insolvency and Governance Act 2020 (CIGA). CIGA originally introduced a number of measures designed to protect companies and directors who were struggling during the pandemic. These measures had originally been implemented to expire at the end of September 2020 but had been subject to two further extensions previously, and have now been extended further.